Whoever wins the White House in November will affect the economy and of course the Stock Market in different ways, so let’s take a quick look at the polls and see who’s up and what could transpire in the upcoming election just over a month away now. By virtually all accounts, Democratic Senator Barack Obama…
We could see a week ahead that will be discussed years later – as such, if you are a newer trader, it might be best to switch to simulation mode this week or use this week as a training experience, rather than risking real capital in an environment that could swing violently up and down…
I mentioned in yesterday’s post that the market is trapped in a defined range, and that a break out of the range will produce a likely sustained move. A reader asked me to highlight potential targets if a break-out move occurred, so I want to take a quick look at S&P potential price targets should…
If you’ve focused entirely on the US Dollar Index, you may have missed the fact that – in general – for the Dollar Index to rise, foreign currencies must fall – and in some cases, that fall has been dramatic. Let’s look at a few currency indexes (FOREX) to see the flip side of a…
With Monday’s trading activity behind us, let’s look at what happened and see if the markets were smiling at us from their charts. First, the Dow Jones (DIA) 5-minute chart: I embellished the chart a bit by drawing two connecting curved trendlines to look like a smiling face (we all need a little levity at…
If you don’t trade airline shares today, you may have missed this interesting intraday development that occurred around lunch time. The Chicago Sun Times reports the story “United Airlines Shares Plunge on False Bankruptcy Report.” Apparently, the Florida Sun Sentinel website posted an article dated 6 years ago and simply (erroneously) changed the date to…
With virtually all news focused on Fannie Mae (FNM) and Freddie Mac (FRE) and their government take-over, let’s look at their charts while they still exist to learn any trading lessons from these companies. Freddie Mac (FRE) Daily: The take-away from this chart is that it’s generally unwise to bet against a prevailing or primary…
Wow – August was another month with a high percentage of overnight gaps, but let’s see how many of these overnight gaps in the DIA (Dow Jones) were filled intraday. I define a gap as being an open that is at least $0.20 different than yesterday’s close and use Excel for the statistics. There were…
What if you had to trade from a desert island, isolated from others and news reports. Could it be done? Adam Hewison of Market Club released a new educational video today that answers this question in an interesting method, but beyond that, he shows how to use the Market Club software in terms of identifying…
Let’s take a quick look at some of the stories around the business blogosphere, courtesy Newsflashr’s Business Blog section. For an official link-fest, the Big Picture offers a “Labor Day Weekend Linkfest.” CXO’s Trading Calendar (trading day historical percentage change) for September (via Kirk Report’s Quick Links). From the “Winning Mental Edge” site, “Persistence (in…